Section 1179DR | Expenditure that qualifies for credit ^F1

(1)Expenditure incurred by the production company for a film or television programme counts as “relevant production expenditure” for the purposes of section 1179CA(2) if—^F1F2

(a)it is core expenditure in relation to that film or television programme (see section 1179DS), and^F1

(b)it is not excluded expenditure (see sections 1179DT and 1179DU).^F1

(2)But for the purposes of step 1 in section 1179CA(1) as it applies in relation to a certified low-budget film (see section 1179DJA(9))—^F3

(a)no more than £15 million can count towards the total of the production company’s relevant global expenditure, and^F3

(b)UK expenditure counts towards that total before other expenditure.^F3